Hartwell Considers Eliminating Employee Insurance

By Mark Berryman, WLHR

Hartwell Mayor Brandon Johnson wrung his hands as he spoke to those gathered at City Hall for the April meeting of the mayor and council. As Hartwell’s chief elected official, it fell on him to announce that the city would no longer be able to afford insurance for its employees.

According to Johnson, the city had maintained its own insurance until last year, and went to the private sector in an effort to salvage the benefit for employees. Johnson said the switch bought Hartwell about a year.

Johnson said the quotes came back double what the city had budgeted for employee benefits which amounted to almost a million dollar increase.

“Went out for quotes and we looked at about a $900,000 increase. It went from budgeted $925,000 for employee benefits to about $1.8 million or about a $900,000 increase. That’s a big number, a really big number,” said Johnson.

Johnson then said the city would not be able to afford the increase and would be forced to discontinue insurance for employees. Johnson then turned the floor over to Councilman Tony Haynie to talk about the numbers.

Haynie said the only place the city had to come up with the extra $900,000 was to increase ad valorem taxes.

“The only option we had as far as getting revenue was ad valorem taxes. To increase ad valorem taxes $900,000 means we would have to raise the millage 66 percent, or seven mils. If you had a $200 tax bill, you would be looking at a $340 tax bill from the city,” said Haynie. Haynie said council members did not believe property owners would approve of a 7 mil hike.

Haynie then reassured those gathered all the money the city had budgeted for employee benefits would be used for that purpose.

Johnson then encouraged city employees to stay, saying the council had not stopped searching for a solution.

Councilman Tray Hicks then said as a taxpayer in Hartwell he would be willing to absorb the 66 percent increase in property taxes in order to retain quality employees and provide them with proper benefits.

“I understand as a taxpayer and citizen of Hartwell, we cannot provide services unless we have the money to pay for them. Taxes are used to pay for services. Without being able to offer insurance, our employee level will drop. Our customer satisfaction among the people we serve is going to drop. So, as a taxpayer and citizen of Hartwell, I would be find if you raised my taxes 66 percent,” said Hicks. Hicks then encouraged those who felt the same way to contact their councilman and let them know they approved of the tax increase.

When the mayor opened the floor for public comment, three members of the Hartwell Police Department spoke, including Police Chief Anthony Davis.

Kevin Thompson was the first to speak, saying the city asked a lot from the police force.

“The equipment is good. We’ve got good leadership. But on the recruitment standpoint, this is something y’all need to think of. I was sitting in y’all’s shoes. I was a councilman for the City of Bowman. We had budget issues, but we did everything we could in that small town to keep insurance. I don’t know what you have to do but I’m in a hard spot. If I had found this out three weeks ago I could have got on my wife’s insurance, but now I have to wait for open enrollment,” said Thompson.

City Manager David Aldrich told Thompson his loss of insurance would be an exception to the open enrollment rule but Thompson said he had checked with his wife’s company and they said no.

Chief Davis told council members he felt compelled to speak up for the officers in his department.

“Mayor and council, as you hear, I’ve got some good guys in my department. Great guys. If I didn’t come up here and stand and speak along with them, what kind of chief would I be? I ride the streets every day. I see the whole city at work. Street department, water, gas, fire, sanitation. They’re all doing a diligent job. Great group of people. Like my two guys said, we know you’re in a tough position. We get in a tough position sometimes. We know you’re going to do the best that you can for the city. I have faith that that’s going to happen. I told all my people today, let’s put it in the Lord’s hands. That’s the best place to put it when something comes up or something’s happening,” said Davis.

Johnson said personnel from human resources would begin offering assistance to employees this morning as they look for alternatives.